BUYING AND SELLING REAL ESTATE IN ENGLAND AND WALES 111
overseas investors. Each party usually meets its own professional advisers’ fees unless agreed otherwise. A tenant who is subletting or transferring the lease will usually be required to pay the landlord’s professional fees for the consent to the subletting or transfer. • The seller, not the buyer, pays the selling agent’s fees. These typically vary from 1% - 3%, depending on whether the real estate is commercial or residential, with fees for auction sales generally higher than for private sales. Payment of the agent’s fee is normally conditional on completion of the sale. • Some buyers may instruct a buyer’s agent to help them find a suitable property. The fee payable to the agent normally varies from 1- 3%. These “finder’s fees” are relatively common in the high-end London residential market, where there may be stiff competition for prime real estate. • Fees incurred in obtaining finance. • Miscellaneous expenses such as search fees of approximately £1,500-£2,000 per property and bank transfer fees.
• the erection of new buildings or the extension or other alteration of existing buildings (and, in some cases, the demolition of an existing building). Applications for planning permission are made to the local planning authority in the first instance and there is a right of appeal to the Planning Inspectorate against a refusal of permission. Certain additional controls apply if development is proposed within a conservation area or if listed buildings are affected. Other controls The development and use of buildings may be governed by other statutory controls that regulate the quality and form of construction. Building regulations cover the technical standard that building works need to meet and the procedures that need to be followed. In the case of leasehold land, the lease may have controls on both kinds of development. Disclaimer This note is for general guidance only. Specific legal advice should be obtained in all cases. Fladgate LLP is regulated by Solicitors Regulation Authority, number 484783. Fladgate LLP accepts no liability for anything contained in this brochure or for any reader who relies on its content. Before concrete actions or decisions are taken by you or your business, you should seek specific legal advice. We remain at your disposal in relation to questions regarding this note and in relation to your current or planned commercial or residential activity in the UK and look forward to assisting you. ©Fladgate 2023. This material is the copyright of Fladgate LLP and is not to be reproduced in whole or in part without prior written consent.
10. Constraints on development Town planning legislation
Development may generally not be undertaken without planning permission obtained under the Town and Country Planning Act 1990 (although there are various exceptions). “Development” may take one of two forms: • the making of a material change in the use of land or of an existing building; or
September 2023
ILN Real Estate Group – Buying and Selling Real Estate Series
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